America's small business owners undaunted by recession.
By Raj Seshadri, Head of Small Business Banking May 06, 2010 09:20 AM
Small businesses face big challenges -- in both good economic times and bad. Yet a new Citibank survey suggests that America's entrepreneurs are undaunted by the recession and positive about their future prospects -- despite current difficulties and the lasting effects of the economic downturn.
The encouraging data was announced this week as we released the results of a survey of more than 550 U.S. small businesses, each with annual revenues exceeding $100,000 and fewer than 100 employees. The survey results show that even in the face of lasting effects from the recent downturn, small business owners -- especially those under 45 -- are optimistic.
While acknowledging the difficult environment (77 percent of those surveyed say they believe current business conditions are only fair or poor), 71 percent say they would start their business again, even if they knew then what they know now about the challenges they would face. Perhaps more important for the country's future, 58 percent would recommend small business to their children as a career.
Looking ahead, more than one in four say they expect business conditions will improve in the next 12 months. Optimism about the future was higher among younger respondents, 53 percent of whom say their own business will be better off in 12 months, compared to 41 percent of those 45 or older.
The survey's results indicate America's small business owners are a resilient and hopeful group. It's great to see that their spirit remains strong even in one of the most difficult economic environments in our history.
About the Survey: This Citibank poll was conducted via telephone by Abt SRBI during the period March 10 - March 31, 2010, among a national random sample of 552 small businesses, each with revenue over $100,000 and no more than 100 employees. The margin of error is approximately +/- 5 percentage points at the 95 percent confidence interval. Surveys are subject to other error sources as well, including sampling coverage error, recording error and respondent error.